The company is seeking to shift credit exposure from its buy now, pay later portfolio to free capital as it prepares a deeper expansion in the U.S. market.
Klarna is structuring a significant risk transfer deal to move credit exposure off its BNPL (buy now, pay later) loan book, a step aimed at freeing up capital ahead of a broader push into the U.S. market. Such transactions are typically used by lenders to reduce the amount of risk held on their balance sheets while preserving lending capacity, making them a common tool when firms want to support growth without tying up additional capital.